Hi everyone,
https://www.cbc.ca/news/business/rogers-signs-deal-buy-shaw-1.5949825
Some recent news here. Rogers Communications has agreed to buy Shaw Communications in a deal valued at $26 billion, which would make Rogers the 2nd largest cell operator in Canada behind BCE Inc., overtaking Telus. Currently, the deal is waiting on 2/3rds majority shareholder approval. Also, the deal will be scrutinized by the Competition Bureau of Canada; the Ministry of Innovation, Science, and Economic Development; and the CRTC.
Rogers said it will invest $2.5 billion in the development of 5G networks over the next 5 years in Western Canada and create a $1 billion fund for improving the connection to high-speed internet in rural, remote, and Indigenous communities. The two companies also said this merger will create $1 billion in synergies.
The Minister of Innovation, François-Philippe Champagne, said the review will focus on “affordability, competition, and innovation”. Surely, the CRTC will be looking to Canada’s telecommunications policy, especially ss. 7(b), (c), and (g) of the Telecommunications Act, when it will review this deal. Hopefully, this won’t lead to an increase in Canada’s already high prices!